New social insurance policy for foreigners
October 31, 2011, Monday
|
Print Edition
Print Edition
ALL foreigners employed in China are required to contribute toward social insurance according to a new policy that came into effect on October 15. To better understand the policy called "Interim Measures for Foreigners Employed in China to Participate in Social Insurance," officials from the district's human resources department and social security department have offered the following interpretation of the key legislation.
Under the new policy, foreigners employed in China refer to non-Chinese nationals, who are legally employed within the territory of China and hold valid work certificates. These certificates include a foreign employment permit or a foreign expert certificate, a resident foreign correspondent's press card for journalists, or a permanent residence certificate. Citizens in Hong Kong, Macau and Taiwan who possess work permits from the Chinese mainland are excluded.
Foreigners have no choice but to participate in the social insurance program. Employers should pay the basic endowment insurance premiums for foreign employees in the same way it pays for local employees. According to state law, the total premium that an employer pays for its staff is equal to a certain percentage of the staff's salaries.
Employers who recruit foreign employees should complete the social insurance registration for foreigners within 30 days after their work certificates are issued. Legal agencies that issue work certificates to foreigners in China should report the relevant personal and related working information to the local social insurance agencies in time. Also, the social insurance agencies should check with the related authorities from time to time to keep tabs on the agencies' compliance with the policy.
If foreign employees leave China before they are qualified to enjoy the pension, their social insurance accounts will be maintained. When they are employed in China again, their pension contributions in China will further accumulate. However, if foreign employers apply to end their social insurance in China, the balance in their social insurance accounts may be refunded in a lump sum.
Those foreigners who enjoy or pay monthly social insurance benefits outside China should provide the relevant Chinese social insurance agencies with proof of these schemes, in the form of "existence certificates," at least once a year. Existence certificates can be issued by a Chinese embassy or consulate. The certificates can also be notarized by related authorities in the country where foreigners live and then certified by a Chinese embassy or consulate.
If foreigners and their Chinese employers have disputes over social insurance, both sides can apply for mediation, arbitration or even file a lawsuit. If domestic employers infringe foreigners' legal rights to enjoy social insurance, foreigners can lodge complaints to social insurance authorities to safeguard their interests.
China has signed bilateral social insurance agreements with Germany and South Korea. Under the agreements, Chinese employed in Germany and South Korea are exempt from part of the social insurance premiums, and vice versa. The agreements help reduce the labor costs of many multinational enterprises.
Under the new policy, foreigners employed in China refer to non-Chinese nationals, who are legally employed within the territory of China and hold valid work certificates. These certificates include a foreign employment permit or a foreign expert certificate, a resident foreign correspondent's press card for journalists, or a permanent residence certificate. Citizens in Hong Kong, Macau and Taiwan who possess work permits from the Chinese mainland are excluded.
Foreigners have no choice but to participate in the social insurance program. Employers should pay the basic endowment insurance premiums for foreign employees in the same way it pays for local employees. According to state law, the total premium that an employer pays for its staff is equal to a certain percentage of the staff's salaries.
Employers who recruit foreign employees should complete the social insurance registration for foreigners within 30 days after their work certificates are issued. Legal agencies that issue work certificates to foreigners in China should report the relevant personal and related working information to the local social insurance agencies in time. Also, the social insurance agencies should check with the related authorities from time to time to keep tabs on the agencies' compliance with the policy.
If foreign employees leave China before they are qualified to enjoy the pension, their social insurance accounts will be maintained. When they are employed in China again, their pension contributions in China will further accumulate. However, if foreign employers apply to end their social insurance in China, the balance in their social insurance accounts may be refunded in a lump sum.
Those foreigners who enjoy or pay monthly social insurance benefits outside China should provide the relevant Chinese social insurance agencies with proof of these schemes, in the form of "existence certificates," at least once a year. Existence certificates can be issued by a Chinese embassy or consulate. The certificates can also be notarized by related authorities in the country where foreigners live and then certified by a Chinese embassy or consulate.
If foreigners and their Chinese employers have disputes over social insurance, both sides can apply for mediation, arbitration or even file a lawsuit. If domestic employers infringe foreigners' legal rights to enjoy social insurance, foreigners can lodge complaints to social insurance authorities to safeguard their interests.
China has signed bilateral social insurance agreements with Germany and South Korea. Under the agreements, Chinese employed in Germany and South Korea are exempt from part of the social insurance premiums, and vice versa. The agreements help reduce the labor costs of many multinational enterprises.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
